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Lookers

LSE:LOOK
Snowflake Description

Flawless balance sheet and undervalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
LOOK
LSE
£436M
Market Cap
  1. Home
  2. GB
  3. Retail
Company description

Lookers plc engages in the sale, hire, and maintenance of motor vehicles and motorcycles in the United Kingdom and Ireland. The last earnings update was 168 days ago. More info.


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LOOK Share Price and Events
Price Volatility
LOOK
Industry
5yr Volatility vs Market

Value

 Is Lookers undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Lookers to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Lookers.

LSE:LOOK Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 7 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.3%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:LOOK
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.4%
Equity Risk Premium S&P Global 8.6%
Specialty Retail Unlevered Beta Simply Wall St/ S&P Global 0.45
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.445 (1 + (1- 19%) (29.23%))
0.551
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.4% + (0.8 * 8.6%)
8.28%

Discounted Cash Flow Calculation for LSE:LOOK using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Lookers is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

LSE:LOOK DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (GBP, Millions) 41.15 51.95 59.81 68.85 79.26
Source Analyst x2 Analyst x2 Est @ 15.12% Est @ 15.12% Est @ 15.12%
Present Value
Discounted (@ 8.28%)
38.00 44.31 47.11 50.09 53.25
Present value of next 5 years cash flows £232.76
LSE:LOOK DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= £79.26 × (1 + 1.4%) ÷ (8.28% – 1.4%)
£1,167.79
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= £1,167.79 ÷ (1 + 8.28%)5
£784.58
LSE:LOOK Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= £232.76 + £784.58
£1,017.34
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £1,017.34 / 393.74
£2.58
LSE:LOOK Discount to Share Price
Calculation Result
Value per share (GBP) From above. £2.58
Current discount Discount to share price of £1.10
= -1 x (£1.10 - £2.58) / £2.58
57.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Lookers is available for.
Intrinsic value
>50%
Share price is £1.1 vs Future cash flow value of £2.58
Current Discount Checks
For Lookers to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Lookers's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Lookers's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Lookers's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Lookers's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:LOOK PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-06-30) in GBP £0.13
LSE:LOOK Share Price ** LSE (2018-09-18) in GBP £1.1
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry PE Ratio Median Figure of 31 Publicly-Listed Specialty Retail Companies 11.47x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 843 Publicly-Listed Companies 17.25x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Lookers.

LSE:LOOK PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:LOOK Share Price ÷ EPS (both in GBP)

= 1.1 ÷ 0.13

8.7x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lookers is good value based on earnings compared to the GB Specialty Retail industry average.
  • Lookers is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Lookers's expected growth come at a high price?
Raw Data
LSE:LOOK PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.7x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
4.9%per year
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry PEG Ratio Median Figure of 24 Publicly-Listed Specialty Retail Companies 1.69x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 595 Publicly-Listed Companies 1.47x

*Line of best fit is calculated by linear regression .

LSE:LOOK PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 8.7x ÷ 4.9%

1.77x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lookers is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Lookers's assets?
Raw Data
LSE:LOOK PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-06-30) in GBP £1.05
LSE:LOOK Share Price * LSE (2018-09-18) in GBP £1.1
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry PB Ratio Median Figure of 38 Publicly-Listed Specialty Retail Companies 1.27x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,409 Publicly-Listed Companies 1.72x
LSE:LOOK PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:LOOK Share Price ÷ Book Value per Share (both in GBP)

= 1.1 ÷ 1.05

1.05x

* Primary Listing of Lookers.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lookers is good value based on assets compared to the GB Specialty Retail industry average.
X
Value checks
We assess Lookers's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Specialty Retail industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Specialty Retail industry average (and greater than 0)? (1 check)
  5. Lookers has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Lookers expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
4.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Lookers expected to grow at an attractive rate?
  • Lookers's earnings growth is expected to exceed the low risk savings rate of 1.4%.
Growth vs Market Checks
  • Lookers's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
  • Lookers's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:LOOK Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:LOOK Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 4.9%
LSE:LOOK Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts 1.4%
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry Earnings Growth Rate Market Cap Weighted Average 12.9%
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry Revenue Growth Rate Market Cap Weighted Average 6.2%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11.2%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:LOOK Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:LOOK Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 4,704 1
2020-12-31 5,008 78 54 5
2019-12-31 4,895 74 51 7
2018-12-31 4,761 77 48 7
LSE:LOOK Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-06-30 4,814 38 50
2018-03-31 4,755 38 49
2017-12-31 4,696 38 48
2017-06-30 4,321 54 76
2017-03-31 4,205 77 74
2016-12-31 4,088 99 72
2016-06-30 3,909 93 40
2016-03-31 3,670 63 41
2015-12-31 3,430 33 41
2015-09-30 3,419 27 50

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Lookers's earnings are expected to grow by 4.9% yearly, however this is not considered high growth (20% yearly).
  • Lookers's revenue is expected to grow by 1.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:LOOK Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from Lookers Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:LOOK Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31
2020-12-31 0.14 0.15 0.13 2.00
2019-12-31 0.13 0.14 0.12 2.00
2018-12-31 0.12 0.14 0.11 2.00
LSE:LOOK Past Financials Data
Date (Data in GBP Millions) EPS *
2018-06-30 0.13
2018-03-31 0.12
2017-12-31 0.12
2017-06-30 0.19
2017-03-31 0.19
2016-12-31 0.18
2016-06-30 0.10
2016-03-31 0.10
2015-12-31 0.10
2015-09-30 0.13

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Lookers is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Lookers's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Lookers has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Lookers performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Lookers's growth in the last year to its industry (Specialty Retail).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Lookers's year on year earnings growth rate has been positive over the past 5 years.
  • Lookers's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Lookers's 1-year earnings growth is negative, it can't be compared to the GB Specialty Retail industry average.
Earnings and Revenue History
Lookers's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Lookers Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:LOOK Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-06-30 4,814.30 50.40 444.30
2018-03-31 4,755.30 49.15 438.85
2017-12-31 4,696.30 47.90 433.40
2017-06-30 4,321.40 76.40 387.50
2017-03-31 4,204.80 74.05 369.95
2016-12-31 4,088.20 71.70 352.40
2016-06-30 3,908.80 40.40 338.60
2016-03-31 3,669.55 40.65 332.55
2015-12-31 3,430.30 40.90 326.50
2015-09-30 3,418.75 49.95 353.90
2015-06-30 3,188.40 49.10 332.30
2015-03-31 3,115.65 47.95 328.65
2014-12-31 3,042.90 46.80 325.00
2014-09-30 2,932.60 45.75 313.80
2014-06-30 2,822.30 44.70 302.60
2014-03-31 2,643.40 40.35 292.05
2013-12-31 2,464.50 36.00 281.50
2013-09-30 2,365.50 32.70 284.35
2013-06-30 2,266.50 29.40 287.20
2013-03-31 2,161.55 27.80 272.40
2012-12-31 2,056.60 26.20 257.60
2012-09-30 1,993.25 26.70 234.05
2012-06-30 1,929.90 27.20 210.50
2012-03-31 1,914.20 26.15 209.90
2011-12-31 1,898.50 25.10 209.30
2011-09-30 1,898.10 24.20 211.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Lookers has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Lookers used its assets less efficiently than the GB Specialty Retail industry average last year based on Return on Assets.
  • Lookers's use of capital has not improved over the past 3 years (Return on Capital Employed).
X
Past performance checks
We assess Lookers's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Specialty Retail industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Lookers has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Lookers's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Lookers's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Lookers is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Lookers's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Lookers's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 9.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Lookers Company Filings, last reported 2 months ago.

LSE:LOOK Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-06-30 415.40 127.50 47.90
2018-03-31 415.40 127.50 47.90
2017-12-31 385.00 552.70 45.30
2017-06-30 370.80 169.60 72.70
2017-03-31 370.80 169.60 72.70
2016-12-31 341.70 474.30 39.80
2016-06-30 307.50 136.60 27.10
2016-03-31 307.50 136.60 27.10
2015-12-31 297.80 459.70 8.30
2015-09-30 297.80 459.70 8.30
2015-06-30 284.80 92.40 20.50
2015-03-31 284.80 92.40 20.50
2014-12-31 256.90 290.60 5.90
2014-09-30 256.90 290.60 5.90
2014-06-30 247.10 97.30 16.60
2014-03-31 247.10 97.30 16.60
2013-12-31 228.00 240.20 5.20
2013-09-30 228.00 240.20 5.20
2013-06-30 219.50 82.80 21.70
2013-03-31 219.50 82.80 21.70
2012-12-31 203.80 214.50 8.70
2012-09-30 203.80 214.50 8.70
2012-06-30 212.80 65.00 25.80
2012-03-31 212.80 65.00 25.80
2011-12-31 197.10 177.90 17.90
2011-09-30 197.10 177.90 17.90
  • Lookers's level of debt (30.7%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (38.5% vs 30.7% today).
  • Debt is well covered by operating cash flow (29.9%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.3x coverage).
X
Financial health checks
We assess Lookers's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Lookers has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Lookers's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.52%
Current annual income from Lookers dividends. Estimated to be 3.82% next year.
If you bought £2,000 of Lookers shares you are expected to receive £70 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Lookers's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.8%).
  • Lookers's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (4.9%).
Upcoming dividend payment

Purchase Lookers on or before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:LOOK Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry Average Dividend Yield Market Cap Weighted Average of 25 Stocks 3.4%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 719 Stocks 3.9%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 1.8%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 4.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:LOOK Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.04 1.00
2020-12-31 0.04 5.00
2019-12-31 0.04 7.00
2018-12-31 0.04 7.00
LSE:LOOK Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2018-04-03 0.039 3.747
2018-03-07 0.039 4.308
2017-03-08 0.036 3.343
2016-03-09 0.031 2.543
2015-03-04 0.028 1.744
2014-03-05 0.026 1.869
2013-03-06 0.024 2.053
2012-03-08 0.022 3.155
2012-03-07 0.022 3.783
2011-03-09 0.024 4.384
2010-08-18 0.012 2.024
2010-03-09 0.000 0.000
2009-12-31 0.000 0.000
2009-08-19 0.000 0.000
2008-12-22 0.000 0.000
2008-09-19 0.040 12.517

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have fallen over the past 10 years.
Current Payout to shareholders
What portion of Lookers's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.4x coverage).
X
Income/ dividend checks
We assess Lookers's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Lookers afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Lookers has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Lookers's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Frank  Bien, image provided by Google.
Frank Bien
CEO Bio

Mr. Frank Bien has been President of Looker Data Sciences, Inc. since May 2013 and serves as its Chief Executive Officer. Mr. Bien is the Chief Executive Officer of Lookers plc. He served as Senior Vice President of Strategy at Virsto Software Corporation since November 2012. He served as Vice President of Business Development at Greenplum, Inc. since March 2008 and was responsible for its global strategic alliances. Mr. Bien served as Vice President of Business Development and Product Marketing at SenSage, Inc. (Formerly, Addamark Technologies, Inc.) since August, 2004 and focused on building strategic relationships that help Addamark enter new markets, broaden the SenSage's solutions within existing target markets and expand the reach of the direct sales organization. Mr. Bien joined SenSage in July of 2004 bringing extensive enterprise software, security and professional services experience from both the commercial and government sectors. He has 20 years of industry experience in enterprise software and security, He worked at Vignette Corporation, where he served as Vice President of Collaboration Solutions and drove sales and distribution of two key product lines. Mr. Frank Bien worked at Intraspect, where he served as Vice President of Business Development responsible for all strategic alliances, OEMs and other channel efforts. Mr. Frank served as Vice President of Customer Solutions, where he built and led Professional Services, Customer Support and pre-sales consulting. Previously, he managed national sales, system consulting and engineering groups at Dell Computer and held several positions in security strategy at TRW, the Federal Reserve Bank and the U.S. Court of Appeals. He serves as Director of Looker Data Sciences, Inc. He has a Bachelor of Science in Criminology from California State University.

CEO Compensation
  • Insufficient data for Frank to compare compensation growth.
  • Insufficient data for Frank to establish whether their compensation is reasonable for a company of this size and profit level.
Management Team Tenure

Average tenure and age of the Lookers management team in years:

1.7
Average Tenure
58
Average Age
  • The average tenure for the Lookers management team is less than 2 years, this suggests a new team.
Management Team

Robin Gregson

TITLE
CFO & Executive Director
COMPENSATION
£422K
AGE
58
TENURE
1.7 yrs

Nigel McMinn

TITLE
COO & Executive Director
COMPENSATION
£422K
TENURE
1.7 yrs

Andy Bruce

TITLE
Executive Director
COMPENSATION
£553K
AGE
53

Frank Bien

TITLE
Chief Executive Officer

Andrew Stephenson

TITLE
Group Human Resources & Customer Director
TENURE
2.3 yrs

Terry Wainwright

TITLE
Chairman of Parts Division
COMPENSATION
£355K
AGE
71

Barb Lawler

TITLE
Chief Privacy & Data Ethics Officer

Glenda MacGeekie

TITLE
Company Secretary

John Hoyle

TITLE
Assistant Company Secretary
Board of Directors Tenure

Average tenure and age of the Lookers board of directors in years:

7.2
Average Tenure
58
Average Age
  • The tenure for the Lookers board of directors is about average.
Board of Directors

Phil White

TITLE
Non-Executive Chairman
COMPENSATION
£124K
AGE
69
TENURE
12 yrs

Robin Gregson

TITLE
CFO & Executive Director
COMPENSATION
£422K
AGE
58
TENURE
9.3 yrs

Nigel McMinn

TITLE
COO & Executive Director
COMPENSATION
£422K
TENURE
5.1 yrs

Andy Bruce

TITLE
Executive Director
COMPENSATION
£553K
AGE
53
TENURE
16.7 yrs

Sally Cabrini

TITLE
Independent Non-Executive Director
COMPENSATION
£42K
TENURE
2.7 yrs

Stuart Counsell

TITLE
Independent Non-Executive Director
COMPENSATION
£21K
TENURE
1.3 yrs

Richard Walker

TITLE
Senior Independent Director
COMPENSATION
£45K
AGE
52
TENURE
1.3 yrs

Tony Bramall

TITLE
Non-Executive Director
COMPENSATION
£42K
AGE
82
TENURE
12.3 yrs
Recent Insider Trading
  • No 3 month insider trading information.
Who owns this company?
X
Management checks
We assess Lookers's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap and profit (greater than 0.5% of the company's profit + 0.03% of market cap)? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Lookers has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

External News
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Simply Wall St News

Where Lookers plc's (LON:LOOK) Earnings Growth Stands Against Its Industry

Today I will take you through a basic sense check to gain perspective on how Lookers is doing by evaluating its latest earnings with its longer term trend as well as its industry peers' performance over the same period. … Was LOOK's recent earnings decline worse than the long-term trend and the industry. … LOOK's trailing twelve-month earnings (from 31 December 2017) of UK£47.90m has

Simply Wall St -

What You Must Know About Lookers plc's (LON:LOOK) Financial Strength

While small-cap stocks, such as Lookers plc (LON:LOOK) with its market cap of UK£418.53m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Specialty Retail businesses operating in the environment facing headwinds from current disruption,.

Simply Wall St -

What Do Analysts Think About Lookers plc's (LON:LOOK) Future Margins?

Lookers plc's (LON:LOOK) … stable earnings sentiment … drives analysts to forecast

Simply Wall St -

Lookers plc (LON:LOOK) Is Trading At A 49.81% Discount

Does the share price for Lookers plc (LON:LOOK) reflect it's really worth? … Today, I will calculate the stock's intrinsic value. … by taking the expected future cash flows and discounting them to their present value.

Simply Wall St -

Is Lookers plc (LON:LOOK) Undervalued?

What’s more interesting is that, Lookers’s share price is quite stable, which could mean two things: firstly, it may take the share price a while to move to its intrinsic value, and secondly, there may be less chances to buy low in the future once it reaches that value. … With an optimistic outlook on the horizon, it seems like this growth has not yet been fully factored into the share price. … Its prosperous future outlook isn’t fully reflected in the current share price yet, which means it’s not too late to buy LOOK.

Simply Wall St -

Should Income Investors Buy Lookers plc (LON:LOOK) Before Its Ex-Dividend?

Important news for shareholders and potential investors in Lookers plc (LSE:LOOK): The dividend payment of £0.02 per share will be distributed into shareholder on 31 May 2018, and the stock will begin trading ex-dividend at an earlier date, 03 May 2018. … Check out our latest analysis for Lookers 5 checks you should do on a dividend stock Whenever I am looking at a potential dividend stock investment, I always check these five metrics: Does it pay an annual yield higher than 75% of dividend payers? … Given that this is purely a dividend analysis, I urge potential investors to try and get a good understanding of the underlying business and its fundamentals before deciding on an investment.

Simply Wall St -

Is Lookers plc (LON:LOOK) Cheap For A Reason?

Although LOOK seems to be managing its financials well, and appears to be currently undervalued, meaning we can buy its shares at a good price, I would rather buy an outstanding business at an OK price. … The current share price for LOOK is UK£0.90. … Also, comparing LOOK's current share price to its peers based on its industry and earnings level, it's undervalued by 71.16%, with a PE ratio of 7.48x vs.

Simply Wall St -

Lookers plc (LON:LOOK): Earnings Growth Remains Elusive

Based on Lookers plc's (LSE:LOOK) earnings update in December 2017, analyst forecasts seem pessimistic, with profits predicted to drop by -10.01% next year compared with the past 5-year average growth rate of 16.75%. … I've plotted out each year's earnings expectations and inserted a line of best fit to calculate an annual growth rate from the slope in order to understand the overall trajectory of LOOK's earnings growth over these next few years. … LSE:LOOK Future Profit Mar 14th 18 By 2021, LOOK's earnings should reach UK£56.56M, from current levels of UK£47.90M, resulting in an annual growth rate of 6.09%.

Simply Wall St -

Where Lookers plc (LON:LOOK) Stands In Terms Of Earnings Growth Against Its Industry

Today I will take a look at Lookers plc's (LSE:LOOK) most recent earnings update (30 June 2017) and compare these latest figures against its performance over the past few years, as well as how the rest of the specialty retail industry performed. … Since these values are fairly myopic, I’ve computed an annualized five-year figure for Lookers's earnings, which stands at UK£39.86M This shows that, on average, Lookers has been able to consistently grow its profits over the past few years as well. … In the past few years, Lookers increased its bottom line faster than revenue by successfully controlling its costs.

Simply Wall St -

Is Lookers plc (LON:LOOK) A Good Pick For Income Investors?

View our latest analysis for Lookers 5 questions I ask before picking a dividend stock When assessing a stock as a potential addition to my dividend Portfolio, I look at these five areas: Is their annual yield among the top 25% of dividend payers? … Therefore, although payout is expected to increase, the fall in earnings may not equate to higher dividend income. … In terms of its peers, Lookers generates a yield of 4.05%, which is high for Specialty Retail stocks.Next Steps: Keeping in mind the dividend characteristics above, Lookers is definitely worth considering for investors looking to build a dedicated income portfolio.

Simply Wall St -

Company Info

Map
Description

Lookers plc engages in the sale, hire, and maintenance of motor vehicles and motorcycles in the United Kingdom and Ireland. The company engages in the sale of new and used cars, and vans; and servicing, repair, and sale of franchised parts to customers’ vehicles. It operates 155 franchised dealerships representing 32 manufacturers from 100 locations. The company is also involved in the sale of tires, oils, parts, and accessories; and car leasing, motability, and finance activities. Lookers plc was founded in 1908 and is headquartered in Altrincham, the United Kingdom.

Details
Name: Lookers plc
LOOK
Exchange: LSE
Founded: 1908
£436,260,160
393,736,607
Website: http://www.lookers.co.uk
Address: Lookers plc
Lookers House,
3 Etchells Road,
Altrincham,
Greater Manchester, WA14 5XS,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE LOOK Ordinary Shares London Stock Exchange GB GBP 02. Jan 1992
OTCPK LKKR.F Ordinary Shares Pink Sheets LLC US USD 02. Jan 1992
DB LO6A Ordinary Shares Deutsche Boerse AG DE EUR 02. Jan 1992
Number of employees
Current staff
Staff numbers
8,599
Lookers employees.
Industry
Automotive Retail
Retail
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2018/09/18 18:18
End of day share price update: 2018/09/18 00:00
Last estimates confirmation: 2018/08/30
Last earnings update: 2018/06/30
Last annual earnings update: 2017/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.